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SAN FRANCISCO -- Last fall, a group of pioneering scientists, venture capitalists and entrepreneurs sold Californians on the ultimate startup, one with shoot-for-the-moon ambitions. The men and women pitched the state's residents on a new science that they said might one day lead to cures for humankind's worst diseases. "Save Lives with Stem Cells!" campaign posters urged.

Today, however, a little more than three months after state voters approved a measure allocating $3 billion in public funds for stem cell and related research, organizers are struggling with more down-to-earth concerns.

The initiative has been tainted by accusations that those who pushed hardest for the money stand to benefit from it the most. Advocates question the pell-mell pace organizers have set to get the program up and running; they worry that in their haste, program leaders are taking too many shortcuts, leaving the initiative vulnerable to being taken advantage of by private profiteers and unscrupulous scientists.

"I appreciate that people feel a sense of urgency. But it has to be done right rather than be done fast," said Susan Berke Fogel...